Public safety network demands successful wireless auctions

In 2012, with passage of The Middle Class Tax Relief and Job Creation Act of 2012, a nationwide interoperable broadband public safety network (FirstNet) was planned. To cover the $7 billion price tag, a spectrum incentive auction is being designed to repurpose airwaves currently owned by TV broadcasters. Revenue raised by the sale of those airwaves will be used to fund the deployment of FirstNet and for Next Generation 9-1-1.

In order to be successful, however, the auction must generate maximum revenue by capturing the full value of repurposed spectrum. This is the best and perhaps only opportunity to raise the necessary funds for investment in a network we so desperately need. We cannot settle for half-measures and incremental moves – the FCC must take decisive steps and set up an auction that delivers the resources needed to empower our public safety officials.

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An incentive auction permitting all bidders to participate will be the most effective way to deliver the funds necessary to build FirstNet and help deploy Next Generation 9-1-1. If the most likely bidders in the auction face participation limits, then as a recent study found, auction proceeds would fall 40 percent. Restrictions, including limits on bids, would likely slash $12 billion in revenue. Broadcasters wishing to make the most of their spectrum holdings will be more hesitant to offer up their airwaves for bidding. A limited spectrum inventory will reduce funds generated from the auction, and jeopardize the future of FirstNet and funding for Next Generation 9-1-1.